I’m interested in a complex of 3 3bdrm seperate title houses for sale individually or together near Ingam Qld. Cost is $417,000. Rent around $150-$180 pw each.
Can someone point me to a good online calculator which will give me a good indication of my borrowing power that takes into account income from property etc?Edit: either my questions lack something or I’ve chosen an axe murderer’s name for this forum[?]
Being a newbie bites IMHOHi Ben,
Welcome to the forum,
Try this link for online calculators.
http://www.yourmortgage.com.au/calculators/Cheers
Steven.[email protected]
http://www.mobilemortgagemarket.com.au
Ph:0402483216
VictoriaPLEASE note comments made should NOT be taken as specific taxation, financial, legal or investment advice. Please seek professional, specific advice.
All the banks have different serviceability models. So where one wont lend another will give you so much it will scare you [
]Your best bet is to get in touch with a broker who can steer you towards the product that best suits.
Give Steven an email with all your financials in it and I am sure he will be only too happy to let you know what you can borrow.
Sorry Steven too make promises on your behalf, if you are busy then I will do the sums.
Have a great christmas guys.
Cheers,
Simon Macks
Mortgage Broker
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Thanks for the help folks. A big WOW to the usefulness of this forum. Wish I’d found it sooner as I could have got shaking on a few things by now.
Hi Ben,
Agree with Simon – lenders are all different, but for a quick check I would get onto the CBA and Westpac web sites and add 70% of gross rental income to your other income in the input screens. These two banks have fairly lenient servicing criteria and this will at least show you whether you are in the ballgame or not.
Also – get thee to a broker. For this type of regional purchase you are going to encounter a huge range of lending ratio’s (LVR’s) from different lenders, let a broker do the legwork.
Good luck!
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Mel
[email protected]Speaking of borkers, my financial provider just told me they won’t deal with brokers anymore. apparently, they’d been lied to by brokers- told the loan applicant was working when they weren’t etc. I thought brokers were the new way for people to get loans usefully (i used a broker myself before they were banned by my lender!). Seems some financial institutions are moving away from many things.
kay henry
That’s “brokers”, not borkers!
kay henry
We knew what you meant Kay.
Agree with Simon – lenders are all differentI was reading somewhere the other day about how much banks would lend, it gave this senerio, I can’t exactly remember, parents on two incomes. They had a personal loan, credit cards and two kids i think. And it compared 25 different lenders. There was a difference of $250,000 from the largest amount to the smallest amount.
So your best off speaker to your bank.
Matt
“If you do what you have always done, you will get what you have always had.”
“Isn’t it time for a change?”
Hi Matt,
As a borker, I think your example shows why it is important to go to a broker in the first place!
Kay – regarding financial institution – which one? Several of the larger Credit Unions flirt with broker introduced loans so I’m guessing it’s one of them.
Like any profession there are good and bad operators but I personally think it’s a fantastic service, not the only solution mind you and I have sent several people back to their current banks to meet their needs because they really didn’t need me to switch them into anything else.
To give you a snap shot of the industry’s position: WA people use brokers for 55%+ of their lending, in VIC only about 15% and national average is around 30%. In the more mature US & UK markets brokers introduce around 75% of all loans now and all signs are we are following that trend. Brokers have been around for 20+ years in Oz, but yes it has only been since the mid-90’s that most lenders have realised what a great almost-free marketing team they are and how much business they can bring in without much effort.
My advice is shop around for a good one or two and keep them up your sleeve like all your professional investing contacts to help you achieve your investing goals.
Happy investing & Merry Christams!
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Mel
[email protected]There are plenty of shonky and hopeless brokers out there! I see them at training sessions all the time. Some don’t know the first thing about loans or property or investing. [
]There are also a few building societies that refuse to deal with brokers for various reasons.[
]Overall I think you are better off in dealing witha broker[
], as they have access to so many different lenders,Terryw
Discover Home Loans
North Sydney
[email protected]Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
I think brokers are great too
) Mine helped me and my ex out when we had no clue what we were doing :o) I think forging relationships with people who help you out is incredibly important. For me, property investing is not just about money and finances- it’s also about building relationships []kay henry
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